Transportation’s role in strengthening the economy


There is no doubt that the transportation facilitates, communication and commerce were necessary for the nation’s economic growth.

The word “infrastructure” is used to describe all the facilities that an economy has in place, including its transportation network of roadways, railroad tracks, and ports, as well as the vehicles and vessels to use them.

An adequate infrastructure is a prerequisite to economic development. Transportation and communications are important in developing and strengthening social, political, and commercial ties. These ties must be developed before trade can be handled on a regular basis. Transportation also is necessary for goods to reach markets where they can be sold or exchanged for other merchandise or services. Transportation undertakings have proved to be a fertile ground for inventors, innovators, entrepreneurs, and their supporting investors.

It should be the priority of the local chief executives and other elected officials in the province of Catanduanes to effectively move forward in spite of our geographical location.
As of this time, we are still suffering from the so-called communication gap because of unstable communication facilities, limited transportation going to and from Catanduanes. We have only one airline, a trip from Virac to Tabaco vice versa is very time consuming because of 3-5 hours trip.

Much of the dynamic growth in the United States and other countries in the 20th century can be attributed to transportation.

Paved roads were needed by farmers to reach markets and to allow trucks and automobiles to travel between cities. Airports also became important as Catanduanes wanted to be served by airlines.
Transportation allows each geographic area to produce whatever it does best and then to trade its product with others. Transportation also allows workers to reach their job sites.

Lastly, because of transportation, it is possible for a producer to reach a large number of markets. This means that the quantity of output can be large enough that significant production economies of scale will result.

A transportation network makes markets more competitive. Economists often study resource allocation—that is, how specific goods and services are used. A transportation system improves the allocation process because it widens the number of opportunities for suppliers and buyers.